If a Tariff Is Imposed in a Country That Is

question 39

Multiple Choice

If a tariff is imposed in a country that is too small to have global market power, the domestic consumer will face a price, and the price paid to foreign producers will .

• A)higher; not change
• B)lower; not change
• C)higher; rise
• D)higher; fall
• E)lower; rise

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Definitions:

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